Viatris Inc.

Good morning and welcome to the Viatris Q4 2025 earnings call. Today, all participants are in a listen-only mode. Should you need assistance during today's call, please signal for a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your touch-tone phone. To withdraw your question, please press star then two. Please note that today's event is being recorded. I would now like to turn the conference over to Mr. Bill Zabluski, Head of Capital Markets. Please go ahead.

Good morning, everyone. Welcome to our Q4 2025 earnings call. With us today is our CEO, Scott Smith, CFO, Doretta Mistress, Chief R&D Officer, Philippe Martin, and Chief Commercial Officer, Karine Lagoff. During today's call, we will be making forward-looking statements on a number of matters, including our financial guidance for 2026 and various strategic initiatives. Those statements are subject to risks and uncertainties. We will also be referring to certain actual and projected non-GAAP financial measures. Please refer to today's slide presentation and our SEC filings for more information, including reconciliations for those non-GAAP measures to the most directly comparable GAAP measures. When discussing 2025 actual or reported results, we will be making certain comparisons to 2024 actual or reported results on a divestiture adjusted operational basis, which excludes the impact of foreign currency rates and also excludes the proportionate results from the divestitures that closed in 2024 from the 2024 period. We may refer to those as changes on an operational basis. When comparing our 2025 actual or reported results to our expectations, we are making comparisons to our 2025 financial guidance. When discussing our expectations for 2026, we will be making certain comparisons to 2025 actual or reported results on an operational basis, which excludes the impact of foreign currency rates. With that, I'll hand the call over to our CEO, Scott Smith.

Good morning, everyone. 2025 was a strong year for Beatrice, and I'm very proud of what we were able to accomplish across all our strategic priorities. The result of all that great work is that we have positioned the company to enter a period of long-term sustainable growth beginning in 2026. Specifically for 2025, we drove strong commercial performance across our global portfolio, continued to stabilize and strengthen our base business, and delivered solid results, including $14.3 billion in total revenues, representing approximately 2% growth versus 24, excluding the indoor pack, and adjusted EBITDA of $4.2 billion. We advanced our pipeline, including five positive Phase III readouts, and made significant regulatory progress on multiple assets. Importantly, we also advanced both SceneraMod and Salada enrollment or Phase III trials with full enrollment for both programs expected in 2026. We prioritized capital return with more than $1 billion in capital return to shareholders through dividends and share repurchases. We targeted accretive regional business development, completing 60 regional transactions, including our acquisition of Aculis Pharma in Japan. For our indoor facility, we met with the FDA in November to review our progress and discuss potential timing for reinspection. That timing remains at the agency's discretion, but we'll be ready for reinspection this year. In the meantime, we've built operational redundancies and alternative supply sources. Finally, we've just completed our enterprise-wide strategic review. As a result, we've identified opportunities from across our company to optimize our cost structure, improve our resource allocation, and strengthen our operational efficiency. We are expecting to deliver approximately $650 million in gross cost savings over a three-year period. We plan to reinvest up to $250 million during that same period. We are creating this reinvestment capacity to invest in areas that enhance the growth profile and long-term competitiveness of the company, such as sharpening our commercial execution and go-to-market effectiveness, advancing our R&D and innovative assets, and continuing to build the capabilities we need to enable sustained success. In addition, we've identified three strategic imperatives that will shape our future. We will drive our base business by executing successful launches, focusing on supply chain continuity, evolving our generic portfolio over time towards more profitable, higher margin products, and strengthening our established brand portfolio. We will fuel our innovative portfolio by advancing a pipeline of late stage and in-market growth assets sourced both internally and externally. And we will modernize for sustainable growth by strengthening our technology, data, and talent capabilities to enable sustained success in a rapidly evolving healthcare environment. Together, we expect these actions will accelerate the transformation of Beatrice into a more focused, efficient, and future-ready organization and position the company to enter a period of sustained revenue and earnings growth beginning in 2026. There's been a lot of work over the last year and really over the last few years to get us to this point. A sincere thank you to the more than 30,000 employees of VHRS for your thoughtful and focused execution. Your contributions make a real difference for our company and for the approximately 1 billion patients we serve around the world every year. As we look to 2026, we expect another year of strong execution. Specifically, we will be very focused on delivering strong financial performance and driving commercial execution across our businesses. including the anticipated launches of our low-dose estrogen weekly patch in the U.S. and Effexor for generalized anxiety disorder in Japan, while preparing for launch of fast-acting meloxicam. From a pipeline perspective, we are hoping for regulatory decisions for six product candidates, including Effexor and Pitocin in Japan, fast-acting meloxicam, low-dose estrogen weekly patch, and resumed use for presbyopia in the U.S. In addition, we are expecting regulatory decisions for MPEFA in Australia and Canada. We are also expecting a number of meaningful phase three data readouts this year and to reach full enrollment in several priority phase three programs. From a capital perspective, we expect to generate robust cash flow in 2026, which will give us significant financial flexibility to continue with our balanced capital allocation approach. We have also reiterated our commitment to our dividend in 2026. At the same time, we are focused on building a portfolio of growth assets through business development and continued execution of our internal pipeline. From a business development perspective, we are targeting accretive high growth in market assets. Finally, with the completion of our enterprise-wide strategic review, we'll focus on evolving and modernizing our organization to strengthen our operating model and ensure sustained growth. We look forward to sharing more details at our investor events on March 19th, including our long-term outlook for revenue and earnings growth and our portfolio strategy across generics, established, and innovative brands. We'll also provide a deep look at our R&D capabilities and key pipeline programs, as well as our commercial strategy and how we are building the capabilities needed to execute upcoming launches. To summarize, we believe 2026 is shaping up to be a pivotal year for Beatrice, one where strong execution, disciplined capital allocation, and the benefits of our strategic review will begin translating into sustained profitable growth and long-term value creation. Now, I'll turn it over to Philippe.